BIOMASS POWER

PLANT
Jo-Carroll Energy,
Inc. (NFP)

MISSION
STATEMENT
JO-CARROLL ENERGY
EXISTS
TO ENHANCE THE
QUALITY OF LIFE
FOR OUR MEMBERS

JO-CARROLL ENERGY,
INC. (NFP)
Electric, natural gas and broadband
distribution cooperative
Prides itself on maintaining a strong,
strategic connection to the future
Insure intimate relationship with its
members
Willing to study any and all opportunities
that might reasonably enhance the
quality of life of its members

JO-CARROLL ENERGY,
INC. (NFP)

Founded in 1939 with 60 members

26,000 electric and natural gas accounts
72 employees100 megawatt electric load
Has installed communications backbone to
support SCADA (Supervisory Control and
Data Acquisition System) and AMI initiatives
Organized Sand Prairie Wireless utilizing
communications backbone to bring internet
access to all within service territory as well
as othersall members of the cooperative

JO-CARROLL ENERGY,
INC. (NFP)
Employs an exceptionally well-educated
and appropriately experienced staf
Requires forward-looking and somewhat
adventurous attitude
Very inclined to accepting and
managing risk
Board of Directors that maintains a long
term perspective in oversight and
direction of the company

BIOMASS POWER PLANT

80 MEGAWATT plant
Evolved from the need for cost efective
power for members for years to come
Huge undertaking for a small
cooperative
Project has progressed as planned and
is on time per original projections
Not without continued risk

BIOMASS POWER PLANT

Still awaiting Illinois EPA Air Permit

Still in search of financing partner
Huge undertaking for a small cooperative
Project has progressed as planned and is
on time per original projections
Not without continued risk
Will assist in keeping costs of power
down

BIOMASS POWER PLANT

Studies showed that the best way to
mitigate potential long term rate volatility
was to construct a biomass generation
facility
Also considering an optional natural gas
peaking unit of up to 22 megawatts for
possible blackstart and peaking needs
Support of staf and Board of Directors for
project led to hiring of consultants, etc.

KEY REASONS FOR

PLANT
Cost effective
* coal fired generation is near impossible
* lower capital cost than other options
Environmentally significant and
friendly
* Clean wood is carbon neutral fuel
* Additional emissions are minimal
* Strong local support for biomass
generation

KEY REASONS FOR

PLANT
Economic Development
* 250-300 construction jobs created over three
year period
* 36 permanent workers
* managed timber, switch grass, corn stover
harvests
creates multiple jobs
Regulatory requirements
* State and federal requirements for renewable
energy
generation
* Greenhouse gas standards require diversity

Construction and
Operations
60 acre construction site
2 miles north of Thomson on Highway
84
Additional option for 100 acres adjoining
Adjoins Danisco plant which will
purchase steam from the facility
Upgrade of access road to 80,000 pound
road as well as turn lanes on Highway
84 will lead to initial construction jobs

Construction and
Operations
Permits, etc. required and completed:

* Threatened and Endangered Species

Survey
* Wetland Delineation
* Archeological Study
* Hydrology Study
* Local Wood Study

Construction and
Operations
Still need to be done:
* Midwest Independent Transmission
Operator (MISO) Project documentation
* National Pollution Discharge Elimination
System (NPDES) study
Completing work on infrastructure
plan and deliverability issues

FINANCIAL ISSUES
Current project construction cost-$290,150,000
Construction to begin in 2011
Startup target for late 2013 or early
2014
Tax credits/grants are available to
partner as Jo-Carroll Energy is a not-forprofit,
tax exempt corporation

REMAINING CRITICAL
RISKS
Air Permit approval is by no means assured
Jo-Carroll Energy cannot finance project
alone
Ongoing confusion with federal and state
regulatory agencies
Serious harm done by recent USEPA
tailoring rule publication
Lack of finality of energy policy, cap and
trade legislation

ADDITIONAL OPTIONS
Construct 40 Megawatt plant instead
Proceed with natural gas peaker
generation unit alone
Other possibilities as the governmental
agencies adjust approach or legislative
proposals and ideas change
Other economic development projects
arise as we always remain flexible

QUESTIONS?